Argyll-based Loch Fyne Oysters is set to see a seven-figure investment, following the completion of a takeover.
The seafood company, which celebrates its 35 year anniversary in 2013, had been owned by employers prior to the takeover by Scottish Seafood Investments (SSI). The investment which makes up the deal will eliminate all debts associated with the firm and inject funding for expansion.
A partnership between The Scottish Salmon Company and private equity investor Northern Link Ltd, the SSI was expressly created to grow Scottish aquaculture concerns.
The Loch Fyne move by SSI shows there is still great potential for growth in many sectors of the country’s industry, growth which many analysts believe is being starved of financial oxygen by the restrictive climate in securing commercial finance in Scotland.
Such ventures by groups such as SSI are helping the situation, as are firms taking steps to back up their finances through invoice discounting and factoring. Many other companies do not recognise what can be done however.
This reticence to exploit new financing avenues can lead to redundancies and other cost cutting measures being taken, simply in order for firms to sustain themselves, let alone consider expansion opportunities that may be available.
The SSI investment will not result in any redundancies to the 107 existing members of staff, and could in fact result in a recruitment drive once firm plans have been put in place.
With independence assured under the scheme, it is expected that Loch Fyne will increase their mussel, oyster, salmon, seaweed and sea urchin production.